As of today (2026-07-06), Rasandik Engineering Industries India's weighted average cost of capital is 12.64%%. Rasandik Engineering Industries India's ROIC % is -2.67% (calculated using TTM income statement data).
Rasandik Engineering Industries India earns returns that do not match up to its cost of capital. It will destroy value as it grows.
For a comprehensive WACC calculation, please access the WACC Calculator.
Rasandik Engineering Industries India (BOM:522207) WACC % Explanation
Because it costs money to raise capital. A firm that generates higher ROIC % than it costs the company to raise the capital needed for that investment is earning excess returns. A firm that expects to continue generating positive excess returns on new investments in the future will see its value increase as growth increases, whereas a firm that earns returns that do not match up to its cost of capital will destroy value as it grows.
As of today, Rasandik Engineering Industries India's weighted average cost of capital is 12.64%%. Rasandik Engineering Industries India's ROIC % is -2.67% (calculated using TTM income statement data).
Rasandik Engineering Industries India earns returns that do not match up to its cost of capital. It will destroy value as it grows.
Be Aware
1. GuruFocus uses book value of debt (D) to do the calculation. It is simplified by adding latest one-year quarterly average Short-Term Debt & Capital Lease Obligation and Long-Term Debt & Capital Lease Obligation together.
For companies that report quarterly, GuruFocus combines all of the most recent year's quarterly debt data from the beginning of the year to the year-end and calculates the average.
For companies that report semi-annually, GuruFocus combines all of the most recent year's semi-annual debt data from the start of the year to the year-end and calculates the average.
For companies that report annually, GuruFocus combines the beginning and ending annual debt data from the most recent year and then calculates the average.
2. The WACC formula discussed above does not include Preferred Stock. Please adjust if preferred stock is considered.
3. (Expected Return of the Market - Risk-Free Rate of Return) is also called market premium. GuruFocus requires market premium to be 6%.
4. GuruFocus uses the latest TTM Interest Expense divided by the latest one-year quarterly average debt to get the simplified cost of debt.
Related Terms
Rasandik Engineering Industries India WACC % Historical Data
* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD. * For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.
Rasandik Engineering Industries India WACC % Chart
For the Auto Parts subindustry, Rasandik Engineering Industries India's WACC %, along with its competitors' market caps and WACC % data, can be viewed below:
* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.
Rasandik Engineering Industries India WACC % vs Vehicles & Parts Industry
For the Vehicles & Parts industry and Consumer Cyclical sector, Rasandik Engineering Industries India's WACC % distribution charts can be found below:
* The bar in red indicates where Rasandik Engineering Industries India's WACC % falls into.
Rasandik Engineering Industries India WACC % Calculation
The weighted average cost of capital (WACC) is the rate that a company is expected to pay on average to all its security holders to finance its assets. The WACC is commonly referred to as the firm's cost of capital. Generally speaking, a company's assets are financed by debt and equity. WACC is the average of the costs of these sources of financing, each of which is weighted by its respective use in the given situation. By taking a weighted average, we can see how much interest the company has to pay for every dollar it finances.
WACC
=
E
/
(E + D)
*
Cost of Equity
+
D
/
(E + D)
*
Cost of Debt
*
(1 - Tax Rate)
1. Weights:
Generally speaking, a company's assets are financed by debt and equity. We need to calculate the weight of equity and the weight of debt.
The market value of equity (E) is also called "Market Cap". As of today, Rasandik Engineering Industries India's market capitalization (E) is ₹380.727 Mil.
The market value of debt is typically difficult to calculate, therefore, GuruFocus uses book value of debt (D) to do the calculation. It is simplified by adding the latest one-year quarterly average Short-Term Debt & Capital Lease Obligation and Long-Term Debt & Capital Lease Obligation together. As of Mar. 2026, Rasandik Engineering Industries India's latest one-year quarterly average Book Value of Debt (D) is ₹237.726 Mil.
a) weight of equity = E / (E + D) = 380.727 / (380.727 + 237.726) = 0.6156
b) weight of debt = D / (E + D) = 237.726 / (380.727 + 237.726) = 0.3844
2. Cost of Equity:
GuruFocus uses Capital Asset Pricing Model (CAPM) to calculate the required rate of return. The formula is:
Cost of Equity = Risk-Free Rate of Return + Beta of Asset * (Expected Return of the Market - Risk-Free Rate of Return)
a) GuruFocus uses 10-Year Treasury Constant Maturity Rate as the risk-free rate. It is updated daily. The current risk-free rate is 7.02%. Please go to Economic Indicators page for more information. Please note that we use the 10-Year Treasury Constant Maturity Rate of the country/region where the company is headquartered. If the data for that country/region is not available, then we will use the 10-Year Treasury Constant Maturity Rate of the United States as default.
b) Beta is the sensitivity of the expected excess asset returns to the expected excess market returns. Rasandik Engineering Industries India's beta is 1.1022.
c) (Expected Return of the Market - Risk-Free Rate of Return) is also called market premium. GuruFocus requires market premium to be 6%.
Cost of Equity = 7.02% + 1.1022 * 6% = 13.6332%
3. Cost of Debt:
GuruFocus uses latest TTM Interest Expense divided by the latest one-year quarterly average debt to get the simplified cost of debt.
As of Mar. 2026, Rasandik Engineering Industries India's interest expense (positive number) was ₹26.284 Mil. Its total Book Value of Debt (D) is ₹237.726 Mil.
Cost of Debt = 26.284 / 237.726 = 11.0564%.
4. Multiply by one minus TTM Tax Rate:
GuruFocus uses the most recent TTM Tax Expense divided by the most recent TTM Pre-Tax Income to calculate the tax rate. The calculated TTM tax rate is limited to between 0% and 100%. If the calculated tax rate is higher than 100%, it is set to 100%. If the calculated tax rate is less than 0%, it is set to 0%.
The latest calculated TTM Tax Rate = 1.456 / -65.458 = -2.22%, which is less than 0%. Therefore it's set to 0%.
* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD. * For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.
Rasandik Engineering Industries India (BOM:522207) has a WACC % of 12.64% as of Jul. 06, 2026. The weighted average cost of capital (WACC) is the average rate a company pays to finance assets. View historical data on Rasandik Engineering Industries India and its competitors. This is 10% above median its historical median of 11.47. Over the past decade, Rasandik Engineering Industries India's WACC % has ranged from 4.69 to 15.93. According to the industry distribution chart, Rasandik Engineering Industries India ranks #1105 out of 1343 companies in the Vehicles & Parts industry, placing it in the top 82.3%.
Is Rasandik Engineering Industries India's WACC % too high?
Rasandik Engineering Industries India's current WACC % of 12.64% is 10% above median its 10-year median of 11.47. Over the past 10 years, this metric has ranged from a low of 4.69 to a high of 15.93. The Vehicles & Parts industry median WACC % is 8.57. Rasandik Engineering Industries India's value of 12.64% is 47.5% above this industry median. Based on the distribution chart, Rasandik Engineering Industries India ranks #1105 out of 1343 companies in the Vehicles & Parts industry, which is in the bottom quartile relative to peers. Overall, Rasandik Engineering Industries India has a GF Score™ of 64/100 and is considered Modestly Undervalued, reflecting its overall financial health beyond just this single metric.
How does Rasandik Engineering Industries India's WACC % compare to ORLY and AZO?
According to the Vehicles & Parts industry distribution chart, Rasandik Engineering Industries India ranks #1105 out of 1343 companies for WACC %. This places Rasandik Engineering Industries India in the lower half of its industry. The industry median WACC % is 8.57. Rasandik Engineering Industries India's value of 12.64% is 47.5% above this benchmark. Historically, Rasandik Engineering Industries India's own WACC % has ranged from 4.69 to 15.93 over the past decade. While the company's 10-year median is 11.47 vs. the industry median of 8.57, Rasandik Engineering Industries India has consistently been above the industry average. See the competitive comparison table and distribution chart on this page for a detailed peer-by-peer breakdown.
What is a good WACC % for a Vehicles & Parts company?
The median WACC % among Vehicles & Parts companies is 8.57, based on 1,343 companies in the industry. Companies in the top quartile (top 25%) have a WACC % significantly above this median, while those in the bottom quartile fall well below. However, WACC % should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. Rasandik Engineering Industries India's current WACC % of 12.64% is 47.5% above the industry median. Use the industry distribution chart on this page to see where any company falls relative to its peers.
What does a high WACC % mean?
A high WACC % can signal that a stock is expensive relative to its fundamentals. The weighted average cost of capital (WACC) is the average rate a company pays to finance assets. View historical data on Rasandik Engineering Industries India and its competitors. For the Vehicles & Parts industry, the median WACC % is 8.57 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Rasandik Engineering Industries India's current WACC % is 12.64%, which is 10% above median its own 10-year median of 11.47. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Rasandik Engineering Industries India stock overvalued right now?
Based on GuruFocus' analysis, Rasandik Engineering Industries India (BOM:522207) is currently considered Modestly Undervalued. The stock's GF Value™ is ₹84.57, compared to a current price of ₹63.72 — trading 24.7% below its estimated fair value. The current WACC % is 12.64%, which is 10% above median its 10-year median of 11.47 and 47.5% above the Vehicles & Parts industry median of 8.57. Rasandik Engineering Industries India's overall GF Score™ is 64/100 with 3 warning signs to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is WACC % calculated?
WACC % is calculated from a company's financial statements. For Rasandik Engineering Industries India (BOM:522207), the current WACC % is 12.64% as of Jul. 06, 2026. GuruFocus calculates this using data sourced from SEC filings and annual reports. See the calculation section and 30-year financial data on this page for the full breakdown.
Is Rasandik Engineering Industries India (BOM:522207) Overvalued in 2026?
Based on GuruFocus' analysis, Rasandik Engineering Industries India stock appears to be undervalued.
The current stock price of ₹63.72 is trading 24.7% below its estimated GF Value™ of ₹84.57.
GuruFocus considers Rasandik Engineering Industries India to be Modestly Undervalued.
Key valuation signals for BOM:522207:
WACC %: 12.64% (10% above median its 10-year median of 11.47)
GF Value™: ₹84.57 vs. price of ₹63.72 (24.7% below fair value)
Industry Position: 47.5% above the Vehicles & Parts median (#1105 of 1343)
No single metric tells the full story. See the BOM:522207 stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Rasandik Engineering Industries India Business Description
Rasandik Engineering Industries India Ltd is engaged in the manufacturing of sheet metal components, muffler assemblies, fuel tanks, tools & dies for motor vehicles, and spare parts. It also manufactures three-wheeler electric vehicles. Some of the products offered by the company include wheel arch inner, bonnet outer, locator shock absorber, and fuel tanks among others. The company generates the majority of its revenue from the sale of Sheet Metal.
64GF Score
Get the complete analysis for BOM:522207
WACC % is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.
Quick Browse
Personalize
Premium Gurus 
Create New Portfolio
BOM:522207 has been successfully added to your 
